A Grad-School Number-Cruncher Shakes Up the World of Bond Quants.

A recent controversy in the world of quantitative investing has raised doubts about the accuracy of a widely cited paper on bond market returns. Alex Dickerson, a doctoral student at Warwick Business School, discovered errors in the influential paper by three Georgetown University professors. The errors invalidated the paper's findings and led to its retraction by the Journal of Financial Economics. This incident highlights the replication crisis in finance and raises questions about the validity of factors used in bond investing. Despite the uncertainties, systematic credit investing remains a growing business. [Extracted from the article]